Mphasis clarifies its role as FedEx service provider, share price rises

This was in response to a media report that claimed the consulting firm is set to lose FedEx's business.

The stock was trading at ₹2,527.8 apiece, an increase of 1.47% on the NSE at 9:22 am.

"As a matter of policy, we do not comment on speculative news articles or individual client relationships or contracts. However, for sake of clarity, Mphasis continues to be a service provider in the FedEx ecosystem. Other aspects of the article are purely speculative," Mphasis said in an exchange filing.

The company reiterated that its management stands by its outlook and assessment earlier communicated at its prior investor calls and most recent earnings call.

"We adhere to the highest standards of governance and disclosures, and any material information requiring disclosures under the applicable regulatory requirements will be promptly communicated to the stock exchanges," it added.

In the January-March quarter of the financial year 2024-25, the IT company posted a 13.6% increase in net profit to ₹446.5 crore compared to ₹393.21 crore a year back.

The revenue from operations advanced 8.7% to ₹3,710 crore in Q4 FY25 as against ₹3,412 crore in the same period of the previous fiscal year.

The total contract value of new wins in the quarter under review more than doubled to USD 390 million, around ₹3,330 crore, from USD 177 million a year back.

"We are pleased with a quarter of broad-based performance, reporting the highest quarter-on-quarter (QoQ) growth in 12 quarters, highest TCV (total contract value) wins in 7 quarters, highest ever quarterly and full year EPS, and 86 per cent YoY growth in pipeline. In this uncertain macro environment, our focus is on continued investments in growth, keeping tech and AI at the core, and leveraging solutions to transform and modernize our client's technology and operations stack," Nitin Rakesh, Chief Executive Officer and Managing Director, Mphasis, had said in a statement.